Dixons, Carphone Warehouse to Merge

Combined Company Valued at More than $6 Billion

By

Peter Stiff and

Ian Walker

Updated May 15, 2014 3:12 p.m. ET

LONDON—Electronics specialist Dixons Retail PLC and cellphone retailer Carphone Warehouse Group PLC on Thursday unveiled an all-share merger, bringing together two of the U.K.'s largest retailers to create a company valued at more than $6 billion.

The companies, which started talks in February, said the combined group would be called Dixons Carphone PLC and be equally owned by the shareholders of each firm. Based on Wednesday's...